

“Enterprise-Only GenAI” Isn’t Stopping Shadow AI — Here’s Why
Across industries, leaders are reacting to generative AI risks in a predictable way: ban public tools, buy an enterprise plan, and tell everyone to use only that. “Only ChatGPT Enterprise.” “Only Gemini for Workspace.” “Only Copilot.”
It’s a rational instinct. It’s also not sufficient.
Shadow AI doesn’t disappear when you lock tools down — it moves, mutates, and becomes harder to see. For security, compliance, and adoption, that’s the worst possible outcome.
At MagicMirror, we work with organizations trying to secure GenAI without slowing people down. Here’s what we’re seeing in the real world, and why “enterprise-only” policies need a stronger second act.